UK Budget 2025 insights
Insight
The 2025 Budget marks a defining moment for the Government’s fiscal strategy, with measures aimed at stabilising the economy and supporting sustainable growth through uncertain times.
At Farrer & Co, we examine what the announcements mean in practice. From tax and property to employment and private wealth, our lawyers consider the Budget’s key provisions and the opportunities they create across sectors. Our insight is designed to help clients anticipate change and plan strategically for the year ahead.
Updates on personal tax, property income and business reliefs
The UK Budget 2025 focuses on stability and targeted revenue measures rather than sweeping reform. While headline rates like corporation tax and Stamp Duty Land Tax (SDLT) remain unchanged, the Budget introduces freezes to key allowances, higher rates on property and investment income, reforms to investment schemes, and new anti-avoidance measures.
The impact for businesses, business owners and investors
The 2025 Budget delivers a wide package of measures affecting businesses, their owners and investors, with a stronger focus on revenue raising than many had anticipated. Although some of the more speculative proposals did not emerge, the changes introduced are still significant and reflect the Government’s intention to modernise the tax system while tightening compliance. The overall impact is varied, but most businesses will see adjustments to reliefs, reporting obligations and investment incentives over the coming years. As ever, early engagement and careful planning will be important.
Key points for international advisers
The 2025 Budget confirms a more restrained approach than many had predicted, with headline proposals such as an exit tax or a broader wealth levy notably absent. For internationally mobile individuals, the existing framework remains largely intact, though several measures will still shape planning over the coming years. The FIG regime, long term residence rules and trust taxation all feature, alongside a renewed emphasis on compliance and anti avoidance. International advisers will need to assess these developments carefully in light of clients' circumstances.
© Farrer & Co LLP, November 2025